Corporate Entrepreneurship Assignment Exploring Management Models

Question

Task: You own a lot of money because you have just won the lottery and are going to set up 2 businesses, one in France and one in Finland. One is operating in a stable market and one in a highly dynamic market.
Choose a product or service, a structure and culture that will fit you, the market, your passion and with which you can achieve your mission.
One company (company A) you’ll start from scratch and will grow fast; from 0 to 1000 employees within 5 years.
One company (company B) you will buy (acquisition). The company you will buy has 400 employees and isn’t performing very well at this moment. Choose the reasons why it isn’t performing well for yourself and mention these in your powerpoint-essay. Use your imagination and create these companies in your mind. Make them grow!
• DO NOT USE THE FOLLOWING MODELS, BECAUSE THESE MODELS HAVE BEEN USED IN CLASS:
  o Greiner’s growth model
  o SWOT analysis (Unless you use it to figure out your strategy for one or more of the 5 models or for task 4; Do not use it as one of the 5 models)
  o BCG Matrix (Boston Consultancy Group; Star, Dog, Cashcow, Star etc.)
If the next criteria are not met, your essay will not be read or graded.

Answer

Introduction
· Company 1: “Glob Tech.”
The Company explored in the context of corporate entrepreneurship assignment is well-known for its product/ service - ‘Software Development’ and ‘Information Technology’ (IT). The company has a mission to fulfill the customer's demand and requirement through developing innovative software. The increasing global software market influences the company's goal to establish a knowledge-based organization, and make an approach towards innovative technology support for corporate and business sectors. As per the investigation carried on this corporate entrepreneurship assignment, the company is aiming towards competing in the fastest growing technology market in France and makes an extensive employee base within five years.

It has the vision to establish the organization as a leading ‘IT’ outsourcer in France by providing innovative ‘software’ services. It has a cultural perspective that is ‘intellectualism’ among the management and stakeholders like any other French organization (Burns P, pg. 140). It tends to have high power and individualism. The company has a 'matrix' structure that makes the management, project teams, and other stakeholders and resources to have their contribution to solving critical problems (Burns P, pg. 193).

The management of the organization has the 'Innovative' characteristics that can identify and implement opportunities to achieve goals (Burns P, pg. 39). The target audience of the company is the technical and non-technical corporate farms and business organizations.

· Company 2: “Stockmann”
This company explored in this corporate entrepreneurship assignment is known as an established Departmental store among Finland. The organization's mission is to provide the customer's daily requirements. The company is aiming towards providing the best value-based services towards its regular customers, and give exciting offers to attract other potential customers. The organization has taken a pledge towards delivering fresh goods daily and reduces the food wastage in Finland.

The company has the vision to prioritize the customer’s requirements and organizational association in sustaining the business process. The authority has recently bought the acquisition of two ongoing departmental stores of “Stockmann” at “ITIS” shopping mall and Vantaa in Finland to increase its performance level. The organization is likely to have a ‘close control’ on the employee’s training (Burns P, pg. 140). The organization has a structure of “traditional hierarchical bureaucracies” that makes the management to have the highest power over other staffs (Burns P, pg. 193).

The management of the organization is tending to adopt ‘opportunistic’ characteristic to recognize new opportunities and get back the lost position of the organization (Burns P, pg. 38). It is seen in the corporate entrepreneurship assignment that the target audience of the organization is the local and other consumers who require grocery and other essential goods from a departmental store.

Task 1
· Top Five ‘Managerial’ or ‘Entrepreneurial’ Characteristics
The managerial or entrepreneurial characteristics of the organizational authority are depending on the organization's 'team size', business value, and market position (Jin, et al., 2017). The possible five characteristics discussed in the corporate entrepreneurship assignment that require in maintaining the mentioned organizations are,

1. “Internal Locus of Control”: The above-mentioned two different industries provided in this corporate entrepreneurship assignment need specific operational planning in conducting effective business decisions and grow the market presence (Dearman, Lechner, & Shanklin, 2018). The increasing competition among the technology market in France needs proper market observation to target the most critical service offers. It can be comprised of high-profile businesses and corporate farms as powerful clients to easily increase business growth. On the other hand, the new business share of the departmental store in Finland needs to be remodified planning to attract customers and strengthen the market position among contemporary companies.
2. “Opportunistic”: One significant characteristic of a successful entrepreneur outlined herein corporate entrepreneurship assignment is to build creative business planning to obtain unique opportunities (Shahab, Chengang, Arbizu, & Haider, 2019). It resulted as taking administration of two different companies in two different industries. The technology industry in France is currently flourished with fast-growing business operations. The departmental store acquisition in Finland of a well-known brand will help in operating a business within an existing market.
3. “Ability to live with Risk and Uncertainty”: It is difficult to manage and operate two different companies with two different backgrounds. However, the initial effective planning can influence the management to take risks to achieve bigger goals. Entrepreneurs are often known for taking a different route to obtain the organizational objectives fast.
4. “Visionary and Good Timing”: The ability to accepting wrong decisions, failure, and gaining knowledge every day makes management stronger than ever. It is important to understand that no one can learn everything at an initial stage, and need a positive vision in making decisions. The experience from failed plans and newly gathered knowledge makes an entrepreneur provide plans timely.
5. “Drive and Determination”: The determination is very important behind making a creative or risk-taking plan for a management operation. Entrepreneurs are trying to build their mind by obtaining existing practical and theoretical knowledge and enhance their skills to mix with the best resources for providing better services/innovations.

Task 2
· Description of ‘Company Management’

1. Ethics: The management ethics in processing the business operations in the two different companies from different industry makes the administrative to adopt development strategies and tools. The “entrepreneurial ethics” of an owner is to maintain the autonomous environment within the organizations, making beneficial and value-based business moves, gender and compensation equality, maximum transparency among the stakeholders and customers, and proceeding towards a specific goal.
2. Management Knowledge: The managerial knowledge is related to an entrepreneur’s creative planning, and provides a ‘multidisciplinary’ approach towards the owned organizations to achieve its business objectives (Sheng, Amankwah-Amoah, & Wang, 2017). The planning behind establishing a technology industry from scratch is to keep up with the market trend in France and grow a small company to a multinational entity for sustaining a powerful venture. On the other hand, it is also stated in this corporate entrepreneurship assignment that the creative mind has calculated the requirement in engaging with the customers more closely by buying shares of a renowned departmental store brand in Finland. The new operational processes will help the existing brand to make a new identity to attract new customers
3. ‘Corporate Social Responsibility’ (CSR): An entrepreneur's responsibility towards enhancing the organization's capacity in managing a diverse employee structure, and make a positive impact on the environment. It is important in sustaining the business operation by establishing a positive image among the customers. The 'philanthropical' aspect of the organization can maximize the chances of earning positivity from society, and provide funds in various 'noble cause' (Stojanovi?-Aleksi? & Boškovi?, 2016). 
4. ‘Innovation’/ ‘Creativity’: The above-mentioned companies explained in this corporate entrepreneurship assignment need an extensive amount of creative planning and innovative services to attract the market fast. The technology market needs innovations and value-based productivity to engage with big farms and grow the business. On the other hand, the reforming plan for an existing departmental store in Finland needs to creative management process to offer unique services, and strengthen the market position.

Task 3
Company 1: “Glob Tech.”, France
Model 1: “Complex Theory” (Burns P, pg. 82)

• Issue/Problem discussed in the context of corporate entrepreneurship assignment: Frequent argument between project team members related to their different opinions
• Model Description: The effective implementation of “Complex Theory” in an organization can change its architecture and acquire multiple actions which are independent. It influences the management to think that small internal incidents can make bigger consequences.
• Strategy Description (from ‘IST’ and ‘SOLL’)

1. Personal Characteristics: The owner and the management of the organization need to give space to their employees. It will help them in making individual planning or expressing their opinions.
2. Culture: The organization needs to have a "club culture" (Burns P, pg. 193). It will bring the team members to feel independent, but at the same time responsible for their activity.
3. Structure: The organization will adopt “Matrix Structure” (Burns P, pg. 193). It allows team members to produce new ideas and management to decide their viabilities.
4. Management Style: The management can adopt "Apollo" 'leadership style' (Burns P, pg. 193). It brings the management's analytical, logical, scientific, and problem-solving characteristics to differentiate the team member's opinion.
5. Innovation/ Creativity: The innovation/creativity for this particular issue could be enhancing the individual’s perspective and ability in recognizing other’s point of view.
6. Description of the Areas mentioned in the above sections of corporate entrepreneurship assignment: The conflicts between the employees during conducting a project can be solved by "Complex Theory”. The organizational culture, structure, and management style needs to be according to this model to get the desired result. It helps in building relationships based on proper knowledge and information (Burns P, pg. 82).
7. Model 2: ‘Mental Model’ (Burns P, pg. 77)

• Issue/Problem: During the critical situation, the team members of a particular project examined in the corporate entrepreneurship assignment cannot be reliable on their basic instincts
• Model Description: ‘Mental Model’ allow the employees of the organization to make assumption on their experiences and question on the existing theories.
• Strategy Description (from ‘IST’ and ‘SOLL’)

1. Personal Characteristics: The management of the organization at least needs to adopt the "self-confident" characteristic (Burns P, pg. 39). They need to believe in their perspective to allow others to make convenient analyzation.
2. Culture: The organization needs to have an "individualism culture" (Burns P, pg. 193). It will help the individuals to justify challenging things and have different conclusions to solve the problem discussed in the corporate entrepreneurship assignment.
3. Structure: The “organic Structure” will differentiate the team members and management by their talent, there will be no higher authority (Burns P, pg. 193).
4. Management Style: The “Zeus” leadership style will help the team and management to enhance their independent perspective, interested in uncertain challenges, and have a strong vision for future (Burns P, pg. 193).
5. Innovation/ Creativity: The creative planning and innovative ideas can enhance the team members to understand the practical viability of a specific project mechanism.
6. Description of the Above-Mentioned Areas: The 'mental model' is essential in understanding the viability of gathered experience and factors surrounding them. It makes the employees find out the practical viability of their plans based on their experience.

Model 3: “Growth Models” (Burns P, pg. 86)

• Issue/Problem: Challenges from the heavy competition with the contemporary companies who are in business for many years
• Model Description: This particular model depicted herein corporate entrepreneurship assignment will enhance entrepreneurs to retain their creativity and acquire exiting opportunities with a direct approach.

• Strategy Description (from ‘IST’ and ‘SOLL’)

1. Personal Characteristics: The management needs to adopt the "opportunistic" characteristic (Burns P, pg. 38). It will help them in acquiring existing opportunities to compete with others.
2. Culture: The “role culture” will bring individuals maximum effort on their assigned works (Burns P, pg. 193). They will be partially controlled by the management in assigning different roles and tasks.
3. Structure: “Traditional hierarchical” culture will make the management to control the employees in acquiring their services for achieving goals (Burns P, pg. 193).
4. Management Style: The management will have “Athena” ‘leadership style’ (Burns P, pg. 193). It will help the manager to create plans according to their credibility, experience, and convincing power.
5. Innovation/ Creativity: The innovative creation can make the organization differentiate from its contemporary companies. It can attract potential customers and strengthen its position among competitors.
6. Description of the Areas mentioned in the above section of corporate entrepreneurship assignment: As a new organization, it can face heavy competition among the well-established companies. “Growth Models” will enhance the entrepreneur to make effective decisions, avoid crisis, and provide autonomy among the organization (Burns P, pg. 86).

Company 2: “Stockmann”, Finland
Model 4: “Dominant Logic” (Burns P, pg. 79)

• Issue/Problem: Old employees are not well listeners to the new management team
• Model Description: ‘Dominant Logic’ is a social ‘construct’ where the managers are more concerned over the competition and make the learning process for other employees controlled.
• Strategy Description (from ‘IST’ and ‘SOLL’)

1. Personal Characteristics: The management needs to enhance its "self-confident" characteristic to combat with this particular issue (Burns P, pg. 39). They need to make new rules and regulations for controlling the employees efficiently.
2. Culture: At the initial stage, the organization needs to adopt "task culture" (Burns P, pg. 193). It will help the management to engage the employees in their assigned tasks and measure their performance quality. The lowest quality will lead those employees to leave the organization later.
3. Structure: For this issue, the organization need to implement “traditional hierarchical bureaucracy” (Burns P, pg. 193). It makes the management to have the highest power and control over the employees and the company.
4. Management Style: The leader needs to represent the "Apollo" style (Burns P, pg. 193). In this style, the management will order their employees and staffs to conduct their tasks within time.
5. Innovation/ Creativity: Creative management strategies can make old employees understand the current situation.
6. Description of the Above-Mentioned Areas: It is a common problem among the new acquisition companies. The old employees believe themselves to be well-understood about their company. However, it is the management's responsibility to implement the required ‘dominant logic’ to control the environment of an organization.

Model 5: “Contingency Theory” (Burns P, pg. 119)

• Issue/Problem: Lack in providing innovative services which can make the organization to grab their old identity
• Model Description: The corporate entrepreneurship assignment examines that this model will help the leader of the organization to modify and implement their ideas according to the local preferences.
• Strategy Description (from ‘IST’ and ‘SOLL’)

1. Personal Characteristics: The management needs to fluent their "innovative" characteristic (Burns P, pg. 39). It will make then in making innovative planning for bringing back the company's lost identity.
2. Culture: The organization need to implement “role culture” in controlling the employees to conduct their roles effectively (Burns P, pg. 193). It will help the management to finish off regular tasks in advance and make room for adopting innovative ideas.
3. Structure: For this particular issue outlined in the corporate entrepreneurship assignment, the organization needs to implement "spider's web structure" (Burns P, pg. 193). It makes the management to stand in the middle and act as the leader. The employees will follow their instructions for conducting new ideas.
4. Management Style: To implement a new idea for competing with contemporary organizations, the management needs to adopt "Dionysus" 'leadership style' (Burns P, pg. 193). It makes the leaders or manager competitive towards achieving their goals.
5. Innovation/ Creativity: The innovative services provided in the corporate entrepreneurship assignment, such as strengthening the 'online shopping' function, offering the seasonal sale, and providing unique products for a wide range of customers can attract customers effectively.
6. Description of the Above-Mentioned Areas: The lack of innovative ideas can rule out an established company. The management needs to implement “Contingency Theory” to enhance the emotional and influential skills to regain their old popularity.

Task 4
· ‘DESTEP’ Analysis of the Market Environment
a.Company 1: “Glob Tech.”, France

· Organizational Growth from the Factors mentioned in the above segment of corporate entrepreneurship assignment
The “Glob Tech.” will get various opportunities in expanding its business operations in the leading industry of France. The organization can be capable of involving skilled employees and engage with big farms for providing innovative services. The organization needs effective cultural structure, and creative planning to cope up with the current political difficulties. It will help the organization to achieve its goals and expand the business globally within five years.

b. Company 2: “Stockmann”, Finland

· Organizational Growth from the Above-Mentioned Factors discussed in the corporate entrepreneurship assignment
The poor operational system makes two of the “Stockmann" stores up for acquisition. It is the responsibility for the new owner to understand the current market condition of the departmental store in Finland and make a business plan according to it. It would not be difficult to establish an identity, but the new management needs to implement creative ideas to retrieve the lost customer base and strengthen the business again.

Task 5
· Management Style According to the New Strategies/ Intervention
The new management will ensure the following areas provided in this corporate entrepreneurship assignment for both companies,

1. 'Directive' management style will help in managing the initial planning and operational process of both companies. The new entrepreneurial company, "Glob Tech." needs strong and capable management to direct the employees according to the organization's primary goals. The 'directive' management style influences the authority in making 'strategic orientation', and controlling the company's reputation (Dutot, 2017). This style illustrated in this corporate entrepreneurship assignment is also beneficial in the critical situation of a business. The acquisition of "Stockmann" needs a controlled directly from the owner and management to regain its market position.
2. ‘Authoritative’ management style helps the management and owner to provide a specific vision and objectives for each organization to engage the employees in a particular direction. The organizational commitment towards maintaining a critical situation is needed 'authoritative' management process to sustain the business the process (Joshi & Jha, 2017). In this process, the owners motivate their employees and guiding their performance by telling their strengths and weaknesses. The management team needs to acquire support/respect from the employees to implement this management style.

· The impact of the Strategies on the Organizational Mission
The above-mentioned management style/strategies discussed in the corporate entrepreneurship assignment will help the two new ventures in its initial stages to survive their business processes. The ‘directive’ management style is important in managing employees of a new entrepreneurial company, like “Glob Tech.” to derive their performance focus controlled according to the business plan. On the other hand the acquisition of “Stockmann" has done during its crisis. The ‘directive’ management style will help the new owner in controlling the old employees from getting involved in the planning process. ‘Authoritative’ management strategy can encourage the employees in improving their performance quality to acquire the organizational vision exclusively.

Conclusion
The main learning outcomes from the current corporate entrepreneurship assignment are the implementation of various entrepreneurial and management model in acquiring desired business processes. The starting of two new businesses in a different industry can be challenging by facing uncertain critical situations and insufficient management practices. The 'entrepreneurial characteristics' of authority can bring creative ideas, risk-taking decisions, and better socio-economic understanding of each industry. The 'entrepreneurial ethics', 'corporate social responsibility', innovative services, and proper management knowledge can lead a new organization in obtaining fast business growth irrespective of its industry.

The analyzation of different challenging situation within the organization by implementing a suitable model from "Corporate Entrepreneurship" makes the management to understand the solution for each situation. The "DESTEP" analysis of different country with the respective industries have given a background understanding of the new business market to make the planning according to the best available resources. The effective management style explained in the above context of corporate entrepreneurship assignment will guide the management to manage and control the employee's performance to achieve the organizational goals.

Bibliography
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